chuck midgette - ar trends 2010 survey
DESCRIPTION
TRANSCRIPT
Review of best practices
• More than 750 annual reports reviewed from around the world:– 222 from the S&P/TSX
– 497 from the S&P 500
– 32 from the Europe 350
– 7 from the Global 100
– 11 from the S&P/ASX
Best practice elements
Focus Credibility Storytelling Performance Accessibility
• Covers• Theme• Investment argument
• Message to shareholders• Governance• Sustainability
• At-a-glance• Market environment• Strategy• Visuals and design
• MD&A• Performance measurement • Risk management• Objectives and targets
• Online annual
reports
Scope of our survey:AR TRENDS
S&P/TSX 222 110
S&P 500 248 50
Big picture trends Survey data
Big picture trends
AR TRENDS survey:What we found
• Production values
AR TRENDS survey:What we found
• Production values
AR TRENDS survey:What we found
• Objectives and targets
AR TRENDS survey:What we found
• Governance
AR TRENDS survey:What we found
• Online annual reports
Covers: What did the best practice companies do?
• 76% of annual report covers contained a theme or positioning statement
• 24% of annual report covers provided only the name of the company and the year
• 26% of back covers contained meaningful content
Duke Energy Corporation front and back cover
Themes: What did the best practice companies do?
American Express Company
Investment argument: What did the best practice companies do?
Enbridge Inc.
Governance: What did the best practice companies do?
TELUS Corporation
• 37% of North American reports included a dedicated section on corporate governance
• 22% of U.S. reports contained a governance section compared to 44% in our previous survey
• 28% of Canadian reports highlighted current governance initiatives compared to 10% in our previous survey
Market environment: What did the best practice companies do?
Volvo Group AB
MD&As: What did the best practice companies do?
Agrium Inc.
• 46% of Canadian and 22% of U.S. MD&As contained graphs, but only 4% of these were captioned
• 14% of Canadian and 2% of U.S. MD&As contained either colour or black and white photography
Performance measurement: What did the best practice companies do?
BMO Financial Group
• 85% of reports featured a financial highlights page
• 49% of reports included an historical performance table, with an average of seven years of data
Online annual reports: What did the best practice companies do?
The Coca-Cola Company
• 32% of U.S. companies that produced a traditional print report also provided an HTML version of the annual, up from 24% in our previous survey
• 8% of Canadian companies produced an HTML version of their annual report, down from 13% in our previous survey
• 12% of U.S. companies and 6% of Canadian companies provided the entire report in HTML